According to Thai Coconut Public Company Limited (SET: COCOCO), which held the Board of Directors meeting No. 1/2025 on January 27, 2025. The meeting resolved to approve an investment project in the Philippines with a total investment value of approximately 430 million baht. The project aims to support the production of coconut milk products in line with increased production capacity and to meet the continuously growing demand both presently and in the future. Upon completion, the project will increase the maximum production capacity of coconut milk products from 99,000 tons per year to approximately 155,000 tons per year.
COCOCO will undertake this investment through a newly established subsidiary under the laws of the Philippines named “Novococonut Inc.” The subsidiary will enter into a long-term land lease agreement for 25 years at the Anflo Industrial Estate (AIE) to construct a factory building for coconut milk production and export. The investment includes buildings, machinery, and infrastructure with a total value of approximately 430 million baht. The construction and machinery installation are expected to be completed and operational by 1Q26.
This investment project is expected to enhance cost efficiency by providing access to low-cost coconut sources in the Philippines, better cost control, and improved competitiveness. COCOCO will also benefit from trade agreements, such as the ASEAN Free Trade Area (AFTA), and plans to apply for special economic zone privileges under the Philippines Economic Zone Authority (PEZA). These privileges include exemptions from import taxes on equipment, reduced corporate income tax, and other supports. Additionally, the factory will enable COCOCO to export coconut water back to Thailand, reducing raw material costs and expanding both domestic and international markets.
The project funding will consist of 90% bank loans and 10% internal cash flow.
